Provisions of the credit
Ÿ
a state income tax credit equal to 20% of the total amount
spent on the rehabilitation of a commercial property listed in the
Indiana Register of Historic Sites and Structures each project can receive a
maximum of $100,000
Ÿ
applicants are put into a queue to receive credits
Ÿ
the Indiana Historic Rehabilitation Tax Credit is
administered through the State Historic Preservation Office (SHPO) of the Division of
Historic Preservation and Archaeology (DHPA) of the Department of Natural
Resources (DNR)
Application Procedure
Ÿ
The Indiana Historic Rehabilitation Tax Credit application
consists of the Federal Historic Rehabilitation Tax Credit application
(described below) plus a one page addendum
Ÿ
Part 1 - “Evaluation of Significance”
- usually submitted prior to the start
of any rehabilitation work
-
provides the SHPO
and National Park Service (NPS) with descriptions of the building and a
statement of its historical and/or architectural
significance
-
the SHPO staff
make a recommendation on whether the building is eligible for the National
Register of Historic Places on an individual basis or as a
contributing part of a certified historic district
Ÿ
Part 2 - “Description of Rehabilitation”
- usually submitted prior to the start
of any rehabilitation work
-
provides the
SHPO and NPS with the following:
-
written descriptions of current “character-defining
features” of the building
-
descriptions of all proposed rehabilitation work affecting
any of the identified “character-defining features”
- drawings of the proposed work
-
photographs of the existing parts of the building that
would be affected by the rehabilitation
-
the SHPO
encourages applicants to obtain approval of Part 2 before beginning any rehabilitation work
whenever possible so as to avoid causing
irrevocable
alterations to the historic character of the building, thus resulting in the
denial of the tax credit
Ÿ
Part 3 - “Request for Certification of Completed Work”
- submitted after completion of the
rehabilitation
-
provides the
SHPO and NPS with photographs of all parts of the building after the
rehabilitation is complete to demonstrate that the project
carried out the proposed and approved work from Part 2
of the application
Eligibility Requirements
Ÿ
the applicant must spend at least $10,000 in qualified
rehabilitation expenditures
Ÿ
the rehabilitation plans must be approved by the Indiana
Division of Historic Preservation and Archaeology (DHPA)
Ÿ
the rehabilitation plans must comply with The Secretary of the
Interior’s Standards for Rehabilitation
Ÿ
the rehabilitated property must be income-producing
Ÿ
the rehabilitated property must be listed in the Indiana
Register of Historic Sites and Structures
Ÿ
the property must be at least 50 years old
Ÿ
the rehabilitation work must be completed within 2 years
after beginning demolition or construction, or within 5 years if the project is
filed as a phased project
Other Requirements
Ÿ
the owner must retain the property for 5 years after
completing the rehabilitation, otherwise the tax credit will be recaptured
Ÿ
the tax credit may also be recaptured if subsequent alterations
are made within 5 years that do not comply with The Secretary of the
Interior’s Standards for Rehabilitation
Ÿ
unused portion of an approved credit may be carried
forward on a taxpayer’s subsequent returns for up to 15 years
Contact Information
Division of Historic Preservation and Archaeology (DHPA)
402 West Washington Street
Room W274
Indianapolis, IN 46204
(317) 232-1646